In recent months, Brazil has witnessed the meteoric rise of a new star in the marketplace universe: Temu. Reports indicate that the company is already among the platforms with the most traffic in the country — according to Conversion, it reached third place. But it’s worth asking: based on what? Visits.
Traffic is an excellent thermometer of curiosity and appetite for low prices. But it is not, by itself, synonymous with results. To understand the real impact of Temu on the Brazilian market, we must go beyond access and observe what truly drives the sector: revenue, margin, EBITDA.
In 2024, the business model based on direct imports suffered a hard blow. The implementation of the so-called ‘blusinha tax’ — a 20% rate on international purchases up to $50, added to ICMS — reduced the volume of these imports by 40% in the first month of enforcement. Data from the Federal Revenue shows that in January 2025, the number of international shipments fell by 27% compared to the same month the previous year. The financial value transacted also dropped by 6%.
In other words: even with massive campaigns and strong price appeal, platforms dependent on international shipments are losing steam. Instead of creating a national operation, Temu insists on growing based on a cross-border model that already shows signs of exhaustion.
Unlike other platforms — such as Shopee, which claims that 9 out of 10 sales in the country are already made by local sellers — Temu remains anchored in a fragile tax strategy, subject to regulatory changes and with low capacity to foster the national ecosystem. There is no physical structure in the country, nor commitment to local logistics or support for Brazilian businesses.
The discussion, therefore, goes beyond Temu itself. The debate is about which e-commerce model Brazil needs to value. A sustainable model — with national sellers, job creation, tax payments — or a fast-turnover model with tight margins and dependence on regulatory loopholes.
It is understandable that consumers seek the lowest price. But it is the role of the sector, authorities, and society as a whole to understand that price is not everything. Traffic generates visibility. Revenue generates permanence.
And without permanence, no platform truly consolidates.
